Hopium & Lies Lies.
- Lie #1: Selling WiLan had nothing to do with missed financial targets.
- Lie #2: After missing ITS financial targets, Forecast achieving Q4 2021 run rate throughout 2022
- Lie #3: We will now achieve that run rate by the end of the year.
Listen to the call. When they talk about the below statement. Brett chokes up and you can visually see the polygraph needle flailing around as he says the below.
We do see improvements in the second half and we believe we will end the year at a run-rate approaching our original outlook for the year. This outlook does assume that work on our ongoing implementations continues to progress along their current trajectory and that challenges related to supply chain and labor market developments begin to ease.
Now read this in the Annual Information Form.
IN respect to ETC:
• ETC’s business is currently concentrated with a relatively small number of customers and related agreements, the loss of some of which customers without replacement could adversely affect its operating results and cash flows;
• ETC derives significant revenues from commercial and government contracts awarded through competitive bidding processes including renewals, which can impose significant costs and ETC may not achieve their financial objectives if they fail to accurately and effectively bid on such projects;
• if ETC underestimates the scope of work or the costs entailed in performing its contracts, or does not fully perform those contracts, particularly given the current unprecedented inflationary pressures on the economy generally, its results of operations and financial condition could be materially adversely affected;
• ETC’s government contracts are subject to the appropriation of funds, termination rights, audits and investigations which, if exercised, could negatively impact their reputation and reduce ETCs ability to compete for new government contracts;
• ETC’s customers often rely on the issuance of bonds to construct their projects and if any issuance of such bonds by any such customer does not permit the construction of such a project, then any such customer may delay or terminate its agreement(s) with ETC, which could adversely affect its operating results and cash flows;
• from time to time, ETC is required by certain of its customers to obtain performance, litigation, payment, operation and/or maintenance bonds for specific projects; if ETC is unable to obtain any such required bonds or is unable to obtain any such bonds on a favourable basis, it may not be able to win and/or perform related agreements for such customers, which could adversely affect its operating results and cash flows; and
• from time to time, ETC is required by certain of its customers to agree to rigorous key performance indicators and related liquidated damages for the failure to meet such indicators; such liquidated damages can be substantial and, if ETC were required to pay any such liquidated damages, this could materially adversely affect its operating results and cash flows;
If the supply chain and labour issues don't quickly materialize how many more special charges can come down the pipeline?